PYS - PaySauce

[winner69]

Reminds me of a company that use to be listed called GeoOp that did invoicing software, listed $1, went to a high of $4.49 then traded less than a tenth of that then delisted.
Went up along the tech wave because Xero had been doing really well, but its own numbers were never convincing.

I think the Paysauce business is a good one given the recent changes in PAYE and requirements for employers to report more regularly with the IRD, but I'm not sure it can be a big one and theres a good difference there. When you consider a business like Xero, everyone needed it and there weren't many competitors at the time thinking about cloud accounting.

Payroll software of course everyone needs it too, but it is a bit different, theres many competitors and theres nothing these guys are doing thats a technological advantage.
In reality if we normalise their expenses, they have actually have tripled while there revenue has only doubled. Until revenue growth outpaces expenses I'd be fearful of the financials. They have got a decent amount of cash in the bank to last 2-3 years so thats not too bad, but I still question the valuation, I only saw it been worth 30 odd million, not the $156 million for a business with about $1.6 million revenue and $2 million in losses.

I didn’t believe your $156 million so I looked it up....jeez it is to, wow

Next we know it will be half a billion

[silverblizzard888]

I didn’t believe your $156 million so I looked it up....jeez it is to, wow

Next we know it will be half a billion

Pumped then dumped today, 20% drop so far. The real question is who is still buying. Theres big gap downwards. To bad I'm missing a box of popcorn, but then again I'm not too enthused watching people burn money away like that.

[whatsup]

Pumped then dumped today, 20% drop so far. The real question is who is still buying. Theres big gap downwards. To bad I'm missing a box of popcorn, but then again I'm not too enthused watching people burn money away like that.

Looks like its all over, the "pump " didn't have legs, back to .50 shortly !!

[couta1]

Looks like its all over, the "pump " didn't have legs, back to .50 shortly !!

The pump has been Trumped. Lol

[Cadalac123]

Damn almost wish I was part of the pump bit lol surely someone made a solid profit on here from it haha

[Preston]

The only real exit I can see here is a Xero takeover. Adding an arm to their accounting machine and creating an all in one solution for sme’s.
It seems like they are currently picking up crumbs of customers who can’t afford/want to install a tried and tested solution.
The market can stay irrational longer than it can stay solvent, but can they stay solvent long enough to get bought out?
Could be worth a punt.

[whatsup]

The only real exit I can see here is a Xero takeover. Adding an arm to their accounting machine and creating an all in one solution for sme’s.
It seems like they are currently picking up crumbs of customers who can’t afford/want to install a tried and tested solution.
The market can stay irrational longer than it can stay solvent, but can they stay solvent long enough to get bought out?
Could be worth a punt.

Why would Xero do that when they are killing the accounting market, death knell to take on Xero in the accounting field imho.

[winner69]

Why would Xero do that when they are killing the accounting market, death knell to take on Xero in the accounting field imho.

I think Preston might have been hoping that Xero would take over Paysauce

But Xero already do payroll

Might have got it wrong

[Preston]

I think Preston might have been hoping that Xero would take over Paysauce

But Xero already do payroll

Might have got it wrong

Yeah, that's the angle I'm looking at, that it may add an arm to the Xero product that they might not have? But if as you say the have a good payroll system already then it'll be a tough gig challenging that for sure. I Wonder why then Xero did a joint initiative with them? Friends close and enemies closer?

I haven't got a position here and can't at the moment seem to justify it. Some crazy price swings in there lately.

[winner69]

Nearly everything doubled last year

No wonder share price is on fire

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